Petoskey council OKs terms for accepting marina dredging money

PETOSKEY -- Petoskey City Council members approved terms Monday for accepting $49,000 in state funding to cover dredging expenses for the city marina.

Because of concerns about declining Great Lakes water levels, Michigan officials recently allotted nearly $21 million for emergency harbor dredging around the state, with a $49,000 share designated for Petoskey.

There is no local matching requirement for the grant, but the city would be responsible for any dredging expenses beyond the $49,000 allowance.

"If the cost of our dredging project does exceed $49,000, we would go to our marina restricted (city budget fund) for the balance," city parks and recreation director Al Hansen said.

Early projections, though, suggest expenses for needed dredging should be close to what the state is providing, he added.

Before arranging engineering assistance for the project and seeking potential contractors, city parks and recreation director Al Hansen said the city would need to accept written state terms for the grant.

"To do this, this is part of their standard operating procedure," Hansen said.

With Michigan Department of Environmental Quality and U.S. Army Corps of Engineers permits needed for the dredging work -- and permits to be processed for many other communities' dredging -- Hansen said the work in Petoskey's harbor likely won't begin for a matter of months, likely between late June and fall.

At present, Hansen said there are only a couple of areas around the harbor's docking areas where low water levels would pose problems for watercraft, and Hansen said marina staff will redirect boats to other locations as needed prior to the dredging.

In other business Monday, the council approved a poverty exemption policy and guidelines to be used by city officials in granting property-tax exemptions based on inability to pay. City staff noted that the policy is based on terms suggested by the Michigan Department of Treasury, and involves tests of both incomes and assets for people seeking poverty-based exemptions from income taxes.